You cannot be forced to download an app to keep your insurance, but tracking your driving behavior could help you save money.
Here’s the thing: Insurance companies provide discounts
for many different things, and being a good driver is one of them. Telematics
programs (via apps or vehicle plug-in devices) are becoming popular, and drivers’ data is being plugged into the formula to calculate actual rates for the policy rather than just getting a discount for participating.How it works: Carriers rate your policy based on the information they have. While your driving record provides a good snapshot of your driving behaviors, an app or plug-in device with live data can give carriers a more complete picture.
Your options: You are not required to download an app if you don’t want to—all discount programs are optional. That being said, your rate may increase because the company doesn’t have enough proof that you’re a safe driver compared to their other policyholders.
What to do: When getting a policy quote, drivers should clarify if the app or car plug in is optional or required. If you are not interested in tracking, you may have to actively refuse to participate and accept a rate based on other factors.